LatAm Bonds

Aeropuerto Internacional de Tocumen, the airport of Panama City, said on Wednesday that it wants to tap its existing 30 year bonds for a further $650m as Latin America issuers appeared keen battle through tough market conditions.

Emerging market issuance is picking up steam once more, despite the weakening across the board in secondary levels.

Emerging market bond investors are pessimistic about the chances of more Latin American deals appearing this week as market conditions grow more difficult.

Chilean savings and loans co-operative Coopeuch has diversified further its sources of funding by becoming the first triple-B rated borrower from Chile to issue in Asian bond markets.

Venezuelan state-owned oil giant PDVSA is likely to make a principal payment on its amortising 2020s due later this week as all evidence suggests the company is desperate to keep hold of the US refinery that serves as collateral for the bond, according to Torino Capital.

South American development bank Corporación Andina de Fomento (CAF) could turn to the public bond markets to begin its pre-funding for 2019, having issued its largest ever private placement last week to bring its 2018 financing programme close to completion.

Secondary market performance on the slew of Latin American new issues priced on Thursday was mostly underwhelming as Chilean power company Empresa Eléctrica Cochrane confirmed it was postponing a proposed bond issuance.

Three Latin American companies managed to raise dollar bonds on Thursday in the face of challenging market conditions, but of the five that completed roadshows on Wednesday, one was left evaluating feedback, having announced guidance, and the other had not appeared.

Panama came from nowhere to lead a slew of Latin American credits marching to raise bond funding on Thursday, but the weight of supply coupled with a tricky trading session meant that results were as up and down as the recent market conditions.

Transportadora de Gas Internacional (TGI), the Colombian gas pipeline operator, ventured into bond markets six months after an initial roadshow on Wednesday with a new 10 year dollar bond.

South American multilateral lender CAF (Corporación Andina del Fomento) opened its first new line in Australian dollars for over a year on Thursday with a new five year benchmark.

Mexican state oil company Pemex returned to bond markets on Tuesday after weeks of speculation to find a wide open market and easily clinch a $2bn long 10 year broadly praised by bankers.